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AHR (American Healthcare REIT) Quick Ratio : 0.37 (As of Sep. 2024)


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What is American Healthcare REIT Quick Ratio?

The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. It is calculated as a company's Total Current Assets excludes Total Inventories divides by its Total Current Liabilities. American Healthcare REIT's quick ratio for the quarter that ended in Sep. 2024 was 0.37.

American Healthcare REIT has a quick ratio of 0.37. It indicates that the company cannot currently fully pay back its current liabilities.

The historical rank and industry rank for American Healthcare REIT's Quick Ratio or its related term are showing as below:

AHR' s Quick Ratio Range Over the Past 10 Years
Min: 0.15   Med: 0.18   Max: 0.37
Current: 0.37

During the past 4 years, American Healthcare REIT's highest Quick Ratio was 0.37. The lowest was 0.15. And the median was 0.18.

AHR's Quick Ratio is ranked worse than
78.15% of 769 companies
in the REITs industry
Industry Median: 0.93 vs AHR: 0.37

American Healthcare REIT Quick Ratio Historical Data

The historical data trend for American Healthcare REIT's Quick Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

American Healthcare REIT Quick Ratio Chart

American Healthcare REIT Annual Data
Trend Dec20 Dec21 Dec22 Dec23
Quick Ratio
- 0.18 0.16 0.19

American Healthcare REIT Quarterly Data
Dec20 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
Quick Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.17 0.19 0.34 0.29 0.37

Competitive Comparison of American Healthcare REIT's Quick Ratio

For the REIT - Healthcare Facilities subindustry, American Healthcare REIT's Quick Ratio, along with its competitors' market caps and Quick Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


American Healthcare REIT's Quick Ratio Distribution in the REITs Industry

For the REITs industry and Real Estate sector, American Healthcare REIT's Quick Ratio distribution charts can be found below:

* The bar in red indicates where American Healthcare REIT's Quick Ratio falls into.



American Healthcare REIT Quick Ratio Calculation

The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. For this reason, the ratio excludes inventories from current assets.

American Healthcare REIT's Quick Ratio for the fiscal year that ended in Dec. 2023 is calculated as

Quick Ratio (A: Dec. 2023 )=(Total Current Assets-Total Inventories)/Total Current Liabilities
=(297.096-19.472)/1466.872
=0.19

American Healthcare REIT's Quick Ratio for the quarter that ended in Sep. 2024 is calculated as

Quick Ratio (Q: Sep. 2024 )=(Total Current Assets-Total Inventories)/Total Current Liabilities
=(340.578-20.234)/865.748
=0.37

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


American Healthcare REIT  (NYSE:AHR) Quick Ratio Explanation

The quick ratio is more conservative than the Current Ratio because it excludes inventories from current assets. The ratio derives its name presumably from the fact that assets such as cash and marketable securities are quick sources of cash. Inventories generally take time to be converted into cash, and if they have to be sold quickly, the company may have to accept a lower price than book value of these inventories. As a result, they are justifiably excluded from assets that are ready sources of immediate cash.

In general, low or decreasing quick ratios generally suggest that a company is over-leveraged, struggling to maintain or grow sales, paying bills too quickly or collecting receivables too slowly. On the other hand, a high or increasing quick ratio generally indicates that a company is experiencing solid top-line growth, quickly converting receivables into cash, and easily able to cover its financial obligations. Such companies often have faster inventory turnover and cash conversion cycles.

The higher the quick ratio, the better the company's liquidity position.


American Healthcare REIT Quick Ratio Related Terms

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American Healthcare REIT Business Description

Comparable Companies
Traded in Other Exchanges
N/A
Address
18191 Von Karman Avenue, Suite 300, Irvine, CA, USA, 92612
American Healthcare REIT Inc is a healthcare-focused real estate investment trust. It owns a diversified portfolio of clinical healthcare real estate properties, focusing primarily on medical office buildings, skilled nursing facilities, senior housing, hospitals, and other healthcare-related facilities. They have four reportable business segments: integrated senior health campuses, outpatient medical, triple-net leased properties and SHOP. It generates majority of revenue through Integrated Senior Health Campuses segment.